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Press release from PR Newswire

Cheniere Files FERC and DOE Applications for Proposed Corpus Christi Liquefaction Project

Friday, August 31, 2012

Cheniere Files FERC and DOE Applications for Proposed Corpus Christi Liquefaction Project12:38 EDT Friday, August 31, 2012HOUSTON, Aug. 31, 2012 /PRNewswire/ -- Cheniere Energy, Inc. ("CEI") (NYSE MKT: LNG) announced today that its wholly owned subsidiary, Corpus Christi Liquefaction, LLC ("Corpus Christi Liquefaction"), has filed an application with the Federal Energy Regulatory Commission ("FERC") for authorization to site, construct and operate a liquefied natural gas ("LNG") export facility to be located near Corpus Christi, Texas ("Corpus Christi Project").  The proposed Corpus Christi Project is being designed for up to three liquefaction trains with an aggregate peak capacity of 15 million tonnes per annum ("mtpa").  Corpus Christi Liquefaction had previously received approval from the FERC to commence the National Environmental Policy Act ("NEPA") pre-filing process for the Corpus Christi Project in December 2011.  (Logo: http://photos.prnewswire.com/prnh/20090611/AQ31545LOGO)CEI has also filed applications with the U.S. Department of Energy ("DOE") requesting multi-contract authorization to export up to 782 million MMBtu of LNG per year (equivalent to 15 mtpa) from the proposed Corpus Christi Project to all current and future countries with which the U.S. has a Free Trade Agreement as well as to any country with which the U.S. does not have a Free Trade Agreement in effect.   The Corpus Christi Project is being designed for up to three liquefaction trains, three 160,000 m3 full containment storage tanks, and two LNG carrier docks.  The Corpus Christi Project would also include a 23-mile associated pipeline that would connect the Corpus Christi terminal to multiple interstate and intrastate pipelines.  Cheniere Corpus Christi Pipeline, L.P. ("Corpus Christi Pipeline") has also requested from FERC a certificate of public convenience and necessity to authorize Corpus Christi Pipeline to construct, own and operate the new natural gas pipeline.     "After an eight month pre-filing process with the FERC, we have determined that our site at Corpus Christi meets all of the requirements of an attractive liquefaction project," said Charif Souki, Chairman and CEO of Cheniere Energy, Inc.  "FERC is the lead agency in the permitting process and we expect to complete the permitting process within 18 months.  We have also initiated applications for permits with other cooperating agencies including the DOE and other federal and state agencies as required.  Our application with the FERC is the second such application filed to date." The Corpus Christi site consists of approximately 664 acres, including 342 acres owned and 322 acres of permanent easements.  The site is located on the La Quinta Channel on the north side of Corpus Christi Bay in San Patricio and Nueces Counties, Texas, and is approximately 15 nautical miles from the coast.Additional InformationCheniere Energy, Inc. is a Houston-based energy company primarily engaged in LNG related businesses, and owns and operates the Sabine Pass LNG terminal and Creole Trail pipeline in Louisiana.  Cheniere is pursuing related business opportunities both upstream and downstream of the Sabine Pass LNG terminal.  Through its subsidiary, Cheniere Energy Partners, L.P., Cheniere is developing a liquefaction project adjacent to the Sabine Pass LNG terminal for up to four liquefaction trains with aggregate capacity of 18.0 mtpa.  Construction has begun on the first two liquefaction trains at Sabine Pass.  Cheniere has also initiated a liquefaction project to be constructed near Corpus Christi, Texas.  The Corpus Christi Project is being designed and permitted for up to three modular LNG trains, each with a nominal capacity of approximately 4.5 mtpa and would include three 160,000 m3 full containment storage tanks, and two LNG carrier docks.  Commencement of construction for the Corpus Christi Project is subject, but not limited to, obtaining regulatory approvals, entering into long-term customer contracts sufficient to underpin financing of the project, entering into an engineering, procurement and construction contract, and Cheniere making a final investment decision.  We anticipate LNG export from the Corpus Christi terminal could commence as early as 2017. Additional information about Cheniere Energy, Inc. may be found on its web site at www.cheniere.com.MilestoneTarget DateCommercial agreements3Q13EPC contract4Q13Financing commitments1Q14Regulatory approvals1Q14Commence construction1Q14Commence operations4Q17This press release contains certain statements that may include "forward-looking statements" within the meanings of Section 27A of the Securities Act of 1933 as amended and Section 21E of the Securities Exchange Act of 1934 as amended. All statements, other than statements of historical facts, included herein are "forward-looking statements." Included among "forward-looking statements" are, among other things, (i) statements regarding Cheniere's business strategy, plans and objectives, including the construction and operation of liquefaction facilities, (ii) statements regarding our expectations regarding regulatory authorizations and approvals, (iii) statements expressing beliefs and expectations regarding the development of Cheniere's LNG terminal and liquefaction business, (iv) statements regarding the business operations and prospects of third parties, (v) statements regarding potential financing arrangements and (vi) statements regarding future discussions and entry into contracts.  Although Cheniere believes that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. Cheniere's actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including those discussed in Cheniere's periodic reports that are filed with and available from the Securities and Exchange Commission. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Other than as required under the securities laws, Cheniere does not assume a duty to update these forward-looking statements.SOURCE Cheniere Energy, Inc.For further information: Investors, Christina Burke, +1-713-375-5104 or Nancy Bui, +1-713-375-5280, or Media, Diane Haggard, +1-713-375-5259